Thinking of relocating to sunny Spain from the United States? Whether you’re a digital nomad, an entrepreneur looking to expand your business in Spain, or someone seeking a more affordable and balanced lifestyle, Spain presents a compelling case—especially when compared to the high cost of living in the U.S.
In fact, living in Spain is approximately 37% more affordable than in the United States, without compromising on lifestyle, infrastructure, or quality of life. From affordable housing and utility bills to world-class healthcare and tax-friendly visa options, this Mediterranean country checks a lot of boxes.
In this guide, we’ll break down the real cost of living in Spain vs USA, with insights for families, singles, professionals, and business owners. Let’s dive in.
1. Overall Monthly Cost of Living in Spain vs USA
| Category | Spain | United States |
| Family of 4 | $3,156 | $5,861 |
| Single Individual | $1,402 | $2,498 |
The numbers speak for themselves. A family of four in Spain can expect to spend just over $3,100 per month, which is nearly half the cost of living in a U.S. city like San Francisco, New York, or even Seattle.
Single professionals or digital nomads can live comfortably in Spain for around $1,400 per month, covering rent, groceries, transport, and occasional dining out. In comparison, U.S. singles need nearly $2,500 per month for the same standard of living.
Key Insight: Living in Spain can save you up to $2,700/month if you’re a family, and around $1,100/month if you’re single.
2. Rent Comparison: Urban Living, Big Difference
| Location | Spain | United States |
| One-bedroom apartment | $1,000 (Madrid) | $3,000+ (New York City) |
Housing is often the largest monthly expense anywhere in the world. But in Spain, it’s refreshingly affordable.
For instance, a one-bedroom apartment in Madrid—Spain’s capital and tech hub—costs around $1,000/month. Meanwhile, in New York City, a similar apartment could easily cost you $3,000 or more per month, not including utilities.
Even in cities like Barcelona, Valencia, or Malaga, which offer coastal beauty and urban convenience, rents remain below $1,200.
Key Insight: Rent in Spain is approximately 65-70% cheaper than in major U.S. cities.
3. Utility Bills: From Electricity to Internet
| Average Monthly Utilities | Spain | United States |
| Electricity, Water, Gas, Internet | $188 | $569 (Alaska) |
The average monthly cost for utilities in Spain is around $188, including electricity, heating, water, and internet. In contrast, U.S. residents—especially in colder regions like Alaska—could be paying as much as $569/month for the same services.
Even in temperate U.S. states, utility costs often cross $300/month, especially with energy prices fluctuating due to inflation and policy changes.
Key Insight: You can save over $350/month just on utilities by moving to Spain.
4. Salary vs Cost of Living: Income Parity
| Average Monthly Net Salary | Spain | United States |
| After Tax | $1,876 | $4,334 |
It’s true that salaries in the U.S. are generally higher. The average take-home pay in the U.S. is $4,334/month, compared to $1,876/month in Spain.
However, once you account for living costs, Spain offers better income-to-expense ratios, especially for remote workers or digital nomads earning U.S. or international salaries. This income arbitrage allows remote workers to live comfortably in Spain while saving significantly more.
Key Insight: While U.S. salaries are higher, Spain offers greater purchasing power and savings potential for remote professionals.
5. Healthcare: Affordable and World-Class
| Monthly Health Insurance | Spain | United States |
| Cost Range | $54 – $216 | $397 – $1,079 |
| Global Ranking (WHO) | 7th | 37th |
Spain’s public and private healthcare systems are some of the most affordable and efficient in the world. Monthly private health insurance in Spain ranges between $54 and $216, depending on coverage and age group.
Meanwhile, in the U.S., even basic coverage starts at $397/month and can go as high as $1,079/month, particularly for older adults or those without employer-backed insurance.
Plus, Spain ranks 7th worldwide in healthcare quality, compared to the U.S., which sits in the 37th position, according to the World Health Organization.
Key Insight: Save up to $850/month on health insurance alone and enjoy better healthcare quality.
6. Daily Expenses: Food, Transport, and Entertainment
Here’s how Spain stacks up in terms of everyday living:
| Category | Spain | United States |
| Coffee (Café) | $1.75 | $4.00 |
| Local Transport | $1.50 – $2.00 | $2.50 – $3.50 |
| Dining for Two | $35 | $80 – $120 |
| Monthly Transit Pass | $45 – $60 | $80 – $130 |
From grabbing a coffee to taking public transport or enjoying dinner with friends, Spain is consistently more affordable. For instance, a basic lunch in a Spanish city costs between $10 – $15, while the same in the U.S. could cost $20 – $30 or more.
Key Insight: Daily living expenses in Spain can be 50%–70% lower than in the U.S.
Tax Advantages: Spain’s Digital Nomad Visa & Beckham Law
Planning to work remotely while living in Spain? The Spain Digital Nomad Visa is tailored for non-EU remote professionals who earn income from outside Spain.
One of the biggest draws? Significant tax incentives.
Under the Beckham Law, eligible professionals pay a flat 24% tax on Spanish-sourced income up to €600,000 per year, compared to much higher progressive tax rates in the U.S. This special regime is available for up to 6 years, making Spain one of the most tax-efficient relocation options in Europe.
Key Insight: Remote workers and entrepreneurs can legally reduce tax liability with Spain’s pro-expat taxation framework.
Who Should Consider Moving to Spain?
1. Remote Workers & Freelancers
Save more, enjoy a better lifestyle, and benefit from flat-rate taxes under Spain’s digital nomad regime.
2. Startup Founders & Entrepreneurs
Spain’s startup ecosystem is booming—particularly in Barcelona and Madrid—and is backed by strong infrastructure, EU grants, and lower operating costs.
3. Retirees & Families
Safe cities, excellent healthcare, and slower-paced living make Spain ideal for long-term settlers.
4. Students & Digital Creators
World-class universities and affordable living attract thousands of international students and creatives every year.
Conclusion
When comparing the cost of living in Spain vs the United States, the difference is not just in dollars—but in quality of life. From significantly lower monthly expenses and affordable housing to world-class healthcare and attractive tax benefits, Spain offers a high standard of living at a fraction of the U.S. cost.
Whether you’re a digital nomad, entrepreneur, retiree, or family seeking a better lifestyle, Spain presents the perfect blend of affordability, safety, and opportunity. With the added advantage of the Digital Nomad Visa and the Beckham Law, relocating to Spain isn’t just a lifestyle upgrade—it’s a financially smart move.
Looking to relocate to Spain? Let OnDemand International help you relocate, register your business, and thrive in Spain with expert, end-to-end support. Get in touch with us today.
FAQ’s
Yes, Spain is significantly more affordable. On average, the cost of living in Spain is about 37% lower than in the U.S., including rent, utilities, transportation, and healthcare.
A single person can live comfortably in Spain for around $1,400 per month, while a family of four may need about $3,100 to $3,200 per month, depending on the city and lifestyle.
Rent is much more affordable in Spain. A one-bedroom apartment in Madrid costs about $1,000/month, compared to $3,000+ in cities like New York or San Francisco.
Spain offers high-quality public healthcare, and private health insurance is very affordable—ranging from $54 to $216/month. Expats can access public healthcare depending on residency and social security contributions.
Yes. Spain’s Digital Nomad Visa allows non-EU citizens, including Americans, to live in Spain while working remotely for non-Spanish companies. It also offers tax benefits like the Beckham Law.
For eligible remote workers on the Digital Nomad Visa, Spain applies a flat 24% tax rate on Spanish income up to €600,000/year under the Beckham Law, which can be lower than U.S. progressive tax rates.
